Changes to Coronavirus Job Retention Scheme in September and October

25 Aug 2020 – Updates on the Coronavirus Job Retention Scheme

Changes from 1‌‌‌ ‌September
For September, the government will pay 70% of wages up to a cap of £2,187.50 for the hours an employee is on furlough. Employers will pay ER NICs and pension contributions and top up employees’ wages to ensure they receive 80% of their wages up to a cap of £2,500, for time they are furloughed.

Changes from 1‌‌‌ ‌October
For October, the government will pay 60% of wages up to a cap of £1,875 for the hours the employee is on furlough. Employers will pay ER NICs and pension contributions and top up employees’ wages to ensure they receive 80% of their wages up to a cap of £2,500, for time they are furloughed.

NOTE: Employers will continue to able to choose to top up employee wages above the 80% total and £2,500 cap for the hours not worked at their own expense if they wish. Employers will have to pay their employees for the hours worked.

Working out your claims
You can use HMRC’s online calculator to help you work out what you can claim. You can now use these to help you work out claims ending on or before 31‌‌‌ ‌October. The calculator can be accessed HERE 

Webinars to explain the changes and what to do
HMRC is running a series of webinars this week to help businesses understand the changes and know how to apply them. To register for one, click HERE